I know Ted David, our resident CNBC sounding board, is on vacation. But hopefully there are some CNBC employees lurking.
When you announce a takeover offer, could you *please* give the offer price per share?
My biggest position, Red Roof Inns was bought out yesterday. I'm laying in bed watching CNBC at 4:30 a.m. and they keep saying "Red Roof was bought out by Accor for $1.1 billion including debt..." Okay, so I'm souped up, but I have no idea what $1.1 billion translates into a share price...sorry, I know my stocks well, but I cannot recite their balance sheets while I'm in bed at 4:30 a.m. I'm thinking "hey this is pretty big news...they'll come back and give details..." Wrong. It wasn't until around 9:30 a.m. that finally, my bud Joe Kernan went over the exact terms of the deal.
Of course, I shouldn't bitch too loudly...after all, the last time I had my largest position involved in a takeover (SEQU), David "Math is Not My Strong Point" Faber announces to everyone 1 minute before the open that it was a *takeunder*, and not the actual terms, which were a premium of twice where the stock closed the day before. Sure enough the stock gaps down 3 points in the 60 seconds between his gaffe and the market open, as the market makers thought they had missed something in the press release. So I guess I'm damned if I do and damned if don't. With my luck, they would've given the Red Roof Inns story to Faber and he would've told everyone that it was a takeunder. Remedial math anyone??? |
